Current trend

Shares of Verizon Communications Inc., one of the largest American telecommunications companies, have been actively declining for the second month. The price reversed at 45.31 (Murrey level [ 2/8]), returned to the main Murrey range, and is currently close to its central area of ​​40.62 (Murrey level [4/8], the lower border of the medium-term ascending channel). Its breakout will ensure reaching the area of ​​39.06 (Murrey level [2/8]) and 38.06 (Murrey level [1/8]). After a breakout of the middle line of Bollinger Bands 42.97 (Murrey level [7/8]), the quotes may grow to ​​43.75 (Murrey level [8/8]) and 44.53 (Murrey level [ 1/8]).

Technical indicators point to the formation of a downward trend: Bollinger Bands are directed downwards, and the MACD histogram is increasing in the negative zone. Stochastic is reversing upwards from the oversold zone, not excluding a limited correction.

Support and resistance

Resistance levels: 42.97, 43.75, 44.53.

Support levels: 40.62, 39.06, 38.06.

Trading tips

Short positions may be opened below 40.62, with the targets at 39.06, and 38.06 and stop loss 41.60. Implementation period: 5–7 days.

Long positions may be opened above 42.97, with the targets at 43.75, 44.53, and stop loss 42.40.